Sephora USA, Inc. v. Palmer, Reifler & Associates, P.A.

Filing 41

ORDER TO SHOW CAUSE regarding diversity jurisdiction. Defendant shall file a declaration listing the states of which its partners, members or the equivalent are citizens no later than Wednesday, May 11, 2016. Signed by Judge Joseph C. Spero on May 9, 2016. (jcslc2S, COURT STAFF) (Filed on 5/9/2016)

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1 2 3 4 UNITED STATES DISTRICT COURT 5 NORTHERN DISTRICT OF CALIFORNIA 6 7 SEPHORA USA, INC., Case No. 15-cv-05750-JCS Plaintiff, 8 v. 9 PALMER, REIFLER & ASSOCIATES, P.A., 11 United States District Court Northern District of California 10 ORDER TO SHOW CAUSE REGARDING DIVERSITY JURISDICTION Defendant. 12 Plaintiff Sephora USA, Inc. brings this action under the federal diversity jurisdiction 13 statute, 28 U.S.C. § 1332, which requires complete diversity of citizenship. Sephora alleges that it 14 is a Delaware corporation with its principal place of business in California, and that Defendant 15 Palmer, Reifler & Associates, P.A. (“PRA”) is a Florida professional association with its principal 16 place of business in Florida. Compl. (dkt. 1) ¶¶ 3−4. PRA admits the latter allegations. Answer 17 (dkt. 18) ¶ 4. Although not discussed in PRA’s pending Motion for Judgment on the Pleadings, 18 PRA’s Answer includes as an affirmative defense the assertion that this Court “lacks jurisdiction 19 over this case and controversy.” Answer at 4 (first affirmative defense). A defect in subject 20 matter jurisdiction cannot be waived. 21 The nature of PRA’s objection to the Court’s jurisdiction over the case is not clear. One 22 conceivable argument might be that PRA should be a treated as a partnership for the purpose of 23 diversity jurisdiction, and therefore as a citizen of each state of which one of its members is a 24 citizen. Accordingly, PRA is ORDERED to file a declaration in the record no later than 25 Wednesday, May 11, listing each state of which at least one of its partners, members, or the 26 equivalent is a citizen. If any such person is a citizen of Delaware or California, the Court will 27 /// 28 /// 1 set a schedule for further briefing to address the appropriate method of determining the citizenship 2 of Florida professional associations. 3 4 5 6 IT IS SO ORDERED. Dated: May 9, 2016 ______________________________________ JOSEPH C. SPERO Chief Magistrate Judge 7 8 9 10 United States District Court Northern District of California 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 2

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